The Use of Multiple Regression Methods in Business Studies: A Critical Analysis

Abstract

Multiple regression is one of the most used statistical methods in social science research. If we examine the existing literature in business, we would find out that multiple regression is indeed heavily adopted as the research tool to account for the social phenomena and test the designated hypotheses. However, if we look into the selected studies in the literature more closely, we would amazingly understand that the use of multiple regression is not always appropriate and the findings or implications derived from the method are therefore doubtful. The purpose of this study is to address this major problem in the business literature and suggest critically the proper use of the important research tool of multiple regression.